From the WSJ report:
The credit squeeze has slowed to a trickle the flood of debt financing that has driven the buyout boom for the past couple of years. None of the 46 pulled financings have led to the cancellation of takeovers. But with banks saddled with billions of dollars of debt they can't sell to investors, it could make it harder for other deals to get initial financing from banks.
Already, some companies that had put themselves on the auction block are shelving sale plans.
From the Business Standard report on the JSW acquisition:
JSW Steel Vice-Chairman and MD Sajjan Jindal told Business Standard the company would have “some equity contribution” for the acquisition of the target rolling mill, while most of the cost will be raised by leveraging the target company’s balance sheet.
...Analysts said Jindal would probably contribute $200 million and raise $1 billion through the LBO route to fund the acquisition.
Arun Natarajan is the Founder & CEO of Venture Intelligence, the leading provider of information and networking services to the private equity and venture capital ecosystem in India. View free samples of Venture Intelligence newsletters and reports.